🌍 Strategic Country Selection: A Blueprint for Smarter Export Decisions in 2025

Introduction: When More Isn’t Better

In an increasingly globalized world, many entrepreneurs face the same question: “Which countries should we focus on?” With dozens of trade shows, hundreds of leads, and growing website inquiries, it’s tempting to chase every opportunity. But experience and data suggest a better path: concentrated, deliberate market focus.

A recent example came on April 2, 2025—what President Trump called “Liberation Day.” His sweeping tariffs on imports were framed as a bold move to revive American industry. But for exporters, abrupt shifts like these, trigger uncertainty, force supply chain overhauls, and complicate market strategies. What seemed like opportunity quickly turned into confusion. Liberation Day, in practice, felt more like Doom Day for international trade and economic growth.

The lesson is clear: more isn’t always better. Instead of reacting to every trend or request, successful exporters commit to structured country selection. Focus fuels faster, more resilient growth—even in times of global disruption. Of course, this structured country selection, is a continues process, that should be re-evaluated frequently due to changing market circumstances. 

The Overchoice Challenge: Why Exporters Must Learn to Say No

International fairs, digital platforms, government trade missions, amongst other, present companies with a wealth of contacts and opportunities. It’s not unusual to walk away from a trade event with 300 new business cards. But responding to every lead is neither sustainable nor strategic.

The tendency to be “everywhere at once” is particularly common amongst small and mid-sized enterprises (SMEs). However, research on successful Dutch export behavior shows a clear pattern: companies that narrowed their scope, focusing on fewer countries, achieved greater structural export growth.

This is a classic example of the 80/20 rule in action. Rather than spreading resources across dozens of geographies, firms that go deep in a few selected markets—20% of their export base—reap 80% of their long-term gains. Additionally, becoming active in a one new market at the time, in the end results in a more effective market expansion. In a few years time, this provides exporters with a larger market share in more different markets. 

 Market Expansion Tool

Rather than choosing countries by gut feeling or based on the latest headline, exporters benefit from a repeatable selection framework. Such a framework is typically part of annual export planning sessions and can be implemented by teams of all sizes.

âœłïž Step-by-Step Approach:

   1) Identify a Preliminary Long list of markets:

This includes existing export countries, markets with strong inbound inquiries, new regions mentioned in strategic conversations, and just based on gut feeling.

  2) Define Market Drivers

Come up with maximum 10 market drivers that for your company influence the level of a market appeal to you. One could think of: 

  • Market size and demand potential
  • Competitive landscape
  • Availability of sales and distribution channels
  • Regulatory complexity
  • Import Tariffs 
  • Cultural fit
  • Trends
  • Distance and logistics
  • Existing contacts or networks in that market
  • Political setting

  3) Assign weighted scores 

For each country/market, fill in a score per defined market driver from 1-5. The effectiveness becomes higher, when these scores are based on research and team meetings, rather than on intuition. 

  4) Group Countries by Priority Based on total scores, countries are categorized into:

  • Group 1: Full focus – strategic core markets
  • Group 2: Moderate attention – watch or nurture
  • Group 3: No action – park for future review

 

 5) Decide on actual activities to be undertaken per group 

Per group and market, a plan of activities should be drawn and initiated. Company resources must be used wisely. This means absolutely no activities should target Group 3 markets—unless they are promoted to Group 2.

 6) Re-evaluation

This market selection exercise should be repeated frequently, at least once a year. Ideally, this is done by the entire international expansion / export team of the company.  Events like the invasion of Russia in Ukraine, the import tariffs from Trump and Covid, that cause radical changes in the market circumstances, require a reconsideration of the market selection. 

This process allows businesses to focus efforts where they’re most likely to succeed—and to justify why they aren’t pursuing certain leads, even if those leads seem promising at first glance.

Focus Leads to Faster Growth: Lessons from Dutch Export Trends

The latest data from the Dutch Trends in Export 2025 report reaffirm the significance of country and geographic concentration. Despite challenges from ongoing geopolitical tensions, Dutch exporters showed resilience by maintaining a strong focus on familiar and nearby markets.

Some key findings:

  • 67% of all Dutch exports go to the EU.
  • The Netherlands exports more to Belgium alone than to the entire Americas, including the United States and Canada.
  • Exporters overwhelmingly see Europe as the future: 73% consider it the most promising region for the next 3–5 years, and 71% for the 5–10 year horizon.

Research amongst Europe based exporters shows that companies are tempted to orient themselves on faraway markets, but do not have a structured nor optimized export yet to the “low-hanging fruit” markets, in its neighbouring countries. Lessons learned from the current global circumstances, are 

  1. that it is much easier to upscale within an existing market where export is not yet optimized, rather than exploiting a new long-distance one, and 
  2. the importance of a very steady nearby export base, see it as an extended home market, has significantly grown due to the volatile global environment  

Firms that consolidate their efforts within Europe, especially in markets like Germany, the Benelux, France, Italy, Spain, the Nordics, Eastern Europe, and Turkey, report more stable and predictable growth. In contrast, companies trying to juggle too many regions often experience slower progress and scattered results.

 2025 Focus Areas: Where the Opportunities Lie

For 2025, the export environment presents a mix of familiar markets and new frontiers. Dutch companies are advised to take a tiered approach based on market performance, regulatory alignment, and growth outlook.

đŸ‡ȘđŸ‡ș Tier 1 – Core EU Markets

  • Germany, Belgium, and France remain the top export destinations, accounting for nearly 40% of all Dutch export revenue. These countries offer reliability, shared standards, and well-developed logistics networks. High potential sectors: machinery, chemicals, food products, green technologies.
  • With the current changing focus on a more autonomous EU in mind: aerospace, automotive and defence industry.

🌍 Tier 2 – Growth in Southern and Eastern Europe

  • Spain, with a projected 2.7% GDP growth in 2025, offers strong domestic demand and increasing investment and has been the largest grower in the EU since Covid.
  • Poland and Romania emerge as top improvers in global development index, driven by strong growth, reforms, and EU integration.
  • These regions reward first movers willing to invest in relationships and local adaptation.

🇬🇧 đŸ‡ș🇾 Tier 3 – Selective Entry in UK and U.S.

  • Both markets are attractive but complex. Trade regulations, compliance burdens, and currency fluctuations can challenge SMEs. Recent developments have introduced additional challenges. 
  • In April 2025, President Donald Trump announced new tariffs, including a baseline 10% tariff on all imports, with a higher 20% tariff specifically targeting EU goods, These measures aim to address trade imbalances, but may increase entry costs for exporters.
  • Given these factors, entry into the U.S. market is advisable only for exporters with substantial market experience, robust local partnerships, or high-margin products capable of absorbing increased costs.

This prioritization is also supported by 2024 trade figures showing declining revenues in China and mixed results in the Americas, while the EU remained steady.

 Pitfalls to Avoid in Country Selection

Even well-intentioned exporters can make missteps in choosing or approaching international markets. Common mistakes include: 

  • Putting too many countries in group 1 and 2, resulting in lack of focus
  • Filling in the country-market driver scores, mainly based on gut feeling instead of realism and facts
  • Pursuing too many leads without evaluating strategic fit.
  • Neglecting complete team organizational involvement in above-mentioned exercise.
  • Not implementing the results of the country selection to adapt the company’s export plan
  • Failing to re-evaluate annually, even as geopolitical and economic conditions shift.

Export success is not about how many countries a company enters—it’s about how it optimizes market presence in the right ones.

 

What to Do in 2025: From Strategy to Execution

With your priority markets defined, 2025 is the year to execute with focus. Success won’t come from chasing every lead, but from following a clear focus and strategy. Start by evaluating countries using consistent criteria: market size, demand, competition, sales channels, regulations, cultural fit, logistics, trends, existing networks, and last but not least, global impactful events. Then, group them into three tiers—core, secondary, and hold—consequently, integrate the result in your export plan.

The country selection exercise, can be very well-used to evaluate both existing export markets as new ones. Stay alert to global risks, supply chains, political shifts, and trade policies—like the new U.S. tariffs announced in April. 

Focus Is a Strategy, Not a Constraint

In 2025, successful exporters will be those who resist the temptation to be everywhere at once and to react to every lead that knocks on the company’s door. Instead, they’ll focus—strategically, deliberately, and with discipline—on a handful of markets where they can build long-term value, before expanding to the next one. 

To most of the EU medium-sized companies, the following strategy applies: Turn nearby markets into a steady second home base! It is easier to achieve and makes you less vulnerable to global dramatic events.

 

📚 References

  1. BNR Zakendoen – Interview with Gerald Baal
    TRANSFER.LC CEO on international market focus and export strategy
    (Aired January 14, 2025)
    🎧 Listen to the interview recording 
  2. Dutch Trends in Export 2024–2025 (Translated Summary)
    • Data on Dutch export markets, sustainability priorities, regional focus, and revenue trends
    • Original source: Exportmonitor by evofenedex and Atradius
      📄 Internal document: BNR Zakendoen 24dec24 and 14jan25 – Trends in Export Summary (User-uploaded)
  3. UNCTAD – Global Trade Outlook 2024
    Global trade reached a record $33 trillion in 2024
    🌐 https://unctad.org/press-material/global-trade-set-reach-new-high-opportunities-and-challenges-developing-economies
  4. WTO – Trade Forecast Revisions (2024-2025)
    Updated projections for global goods trade growth
    🌐 https://www.wto.org/english/news_e/news24_e/forecast_update_march24_e.htm (note: use latest available update from WTO site)
  5. Reuters – 2024 Climate Impact & Record Temperatures
    Confirmation of 2024 as hottest year on record, with implications for sustainability compliance
    🌐 https://www.reuters.com/business/environment/2024-will-be-hottest-year-record-eu-scientists-say-2024-12-09/
  6. Reuters – 2024 Elections & Trump’s Return
    Global political shifts and re-election of Donald Trump as U.S. President
    🌐 https://www.reuters.com/wider-image/2024-year-elections-photos-2024-12-10/
  7. Vox – Artificial Intelligence and Global Business Implications in 2024
    🌐 https://www.vox.com/future-perfect/391021/donald-trump-artificial-intelligence-syria-gaza-2024-election
  8. MarketWatch – Gold Surge Amid Economic Uncertainty
    33% rise in gold prices due to global instability
    🌐 https://www.marketwatch.com/story/heres-whats-expected-to-drive-golds-performance-in-2025-1a6148bd
  9. AP News – Spain’s Economic Forecast 2024
    Spain projected to grow at 3.1% GDP in 2024
    🌐 https://apnews.com/article/spain-economy-growth-forecast-2024-bank-45be4f8c32545f9e510c95e65dcf3c4a
  10. European Commission – Green Deal and Sustainability Regulations
    Core environmental compliance initiatives for European exporters
    🌐 https://ec.europa.eu/info/strategy/priorities-2019-2024/european-green-deal_en

Get in Touch!

If you are interested in this country, or you would like to expand to one of the other main markets in the Americas or Europe, contact us via the form, and we will get back to you shortly.

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